POST UTME RSU 2023 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
From the following trial balance, prepare a balance sheet for XYZ Ltd.
A. ₦1,500,000
B. ₦2,000,000
C. ₦2,500,000
D. ₦3,000,000
Question 2
A public sector organization uses the cash book system to record its financial transactions. The cash book shows a debit balance of ₦150,000. However, the bank statement shows a credit balance of ₦120,000. What is the reason for the discrepancy?
A. The cash book has not been updated to reflect the bank's statement.
B. The bank's statement is incorrect.
C. The cash book has been incorrectly prepared.
D. The bank has not credited the organization's account.
Question 3
A company produces two products, X and Y. The selling price of X is ₦500 per unit, and the selling price of Y is ₦600 per unit. The company sells 200 units of X and 300 units of Y. If the total revenue from the sale of these products is ₦420,000, what is the total cost of goods sold?
A. ₦250,000
B. ₦300,000
C. ₦350,000
D. ₦400,000
Question 4
A company's balance sheet shows a current liability of ₦50,000. The accountant suspects that the liability is due to an error in the journal entry for the purchase of a machine. The machine was purchased for ₦50,000 and the accountant has made an error in the journal entry. Prepare the correct journal entry.
A. ₦10,000
B. ₦20,000
C. ₦30,000
D. ₦40,000
Question 5
In a public sector accounting system, what is the primary objective of the accounting process?
A. To provide financial information for decision-making
B. To ensure compliance with accounting standards
C. To facilitate the preparation of financial statements
D. To provide a framework for budgeting and forecasting
Question 6
A company's trial balance shows the following balances: Accounts Payable ₦80,000, Sales Revenue ₦200,000, Cost of Goods Sold ₦150,000. What is the company's net income?
A. ₦50,000
B. ₦60,000
C. ₦70,000
D. ₦80,000
Question 7
A company has the following trial balance: | Account | Debit | Credit | | --- | --- | --- | | Cash | 1000 | | | Bank | | 500 | | Accounts Payable | 200 | | | Sales Revenue | | 300 | What is the balance in the accounts payable account?
A. ₦200
B. ₦500
C. ₦1000
D. ₦300
Question 8
A company issues 10,000 9% debentures of ₦100 each at a discount of 5%. The debentures are redeemable at par after 5 years. Calculate the amount of discount on the debentures.
A. ₦500,000
B. ₦1,000,000
C. ₦1,500,000
D. ₦2,000,000
Question 9
A company's balance sheet shows a current ratio of 2:1. If the company's current assets are ₦100,000 and its current liabilities are ₦50,000, what is the company's quick ratio?
A. 1:1
B. 1.5:1
C. 2:1
D. 3:1
Question 10
Determine the amount of depreciation on a machine that cost ₦120,000 and has a useful life of 5 years, using the straight-line method, if the machine is sold for ₦60,000 after 3 years.
A. ₦24,000
B. ₦30,000
C. ₦36,000
D. ₦40,000
Question 11
A company uses the self-balancing ledger system. The company's accounts payable account shows a balance of ₦50,000. The company also has an account receivable of ₦30,000 and an account payable of ₦20,000. What is the company's net working capital?
A. ₦80,000
B. ₦90,000
C. ₦100,000
D. ₦110,000
Question 12
A company's trial balance shows a debit balance of ₦15,000 in the account 'Rent Received' and a credit balance of ₦20,000 in the account 'Rent Paid'. What is the correct journal entry to rectify this discrepancy?
A. ₦5,000 debit to Rent Received and ₦5,000 credit to Rent Paid
B. ₦5,000 debit to Rent Paid and ₦5,000 credit to Rent Received
C. ₦10,000 debit to Rent Received and ₦10,000 credit to Rent Paid
D. ₦10,000 debit to Rent Paid and ₦10,000 credit to Rent Received
Question 13
A company has the following trial balance: | Account | Debit | Credit | | --- | --- | --- | | Cash | ₦10,000 | ₦0 | | Accounts Payable | ₦0 | ₦15,000 | | Sales Revenue | ₦0 | ₦20,000 | | Cost of Goods Sold | ₦8,000 | ₦0 | | Total | ₦18,000 | ₦35,000 | What is the correct journal entry to record the sale of goods on credit to a customer for ₦12,000?
A. Debit Sales Revenue ₦12,000, Credit Accounts Receivable ₦12,000
B. Debit Cost of Goods Sold ₦12,000, Credit Sales Revenue ₦12,000
C. Debit Sales Revenue ₦12,000, Credit Cash ₦12,000
D. Debit Accounts Receivable ₦12,000, Credit Sales Revenue ₦12,000
Question 14
A company uses the double-entry system of accounting to record its financial transactions. The company's journal entry for the purchase of an asset is:
A. Debit Asset Account ₦500,000; Credit Cash Account ₦500,000
B. Debit Cash Account ₦500,000; Credit Asset Account ₦500,000
C. Debit Asset Account ₦500,000; Credit Bank Account ₦500,000
D. Debit Bank Account ₦500,000; Credit Asset Account ₦500,000
Question 15
A manufacturing company uses the process cost method to account for its production costs. The company's production costs for the year include direct materials of ₦1,500,000, direct labor of ₦2,000,000, and manufacturing overhead of ₦3,000,000. If the company's total production costs for the year were ₦6,500,000, what is the amount of the company's cost of goods sold?
A. ₦4,000,000
B. ₦4,500,000
C. ₦5,000,000
D. ₦5,500,000

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